AmEx Car Rental Insurance: What to Know - NerdWallet (2024)

FAQs

Is Amex rental car insurance primary or secondary? ›

American Express provides secondary rental car coverage as a complimentary benefit with many of its credit cards. This coverage serves as a backup to your primary insurance coverage when you use your card to rent a car and decline the rental car company's collision damage waiver (CDW).

The rental car theft and damage is an included benefit of the card, however, to activate this coverage when you rent a car, you must: Pay for your car rental with your Platinum Card® from American Express. Decline the collision damage waiver (CDW), loss damage waiver (LDW), or equivalent offered by the car rental ...

This product provides secondary coverage and does not include liability coverage. Not all vehicle types or rentals are covered.

Collision Damage Waiver (CDW) provides cover if there is damage to a rental car through an accident. LDW on the other hand, is a combination of CDW and Theft Protection, which means that you will be covered for car replacement if your rental car is stolen during the period of your rental.

Determining Which is Primary Coverage

Employer-sponsored insurance: Primary coverage is your company, secondary is your spouse's plan. Children: Primary coverage for a married couple with children and two health insurance plans relies on the birthday rule (parent with the earlier birthday is primary).

Most credit cards offer secondary coverage, which means the coverage kicks in after your personal car insurance policy. In the case of an accident, theft or damage, you'd first need to file a claim with your own car insurance company before submitting a claim through your credit card's insurance provider.

American Express offers four types of travel insurance and protections to holders of the American Express® Gold Card: Baggage insurance that covers lost, damaged or stolen baggage. Car rental insurance which covers damage to or theft of eligible car rentals.

Liability insurance provides protection against claims resulting from injuries and damage to people and/or property. Liability insurance covers legal costs and payouts for which the insured party would be found liable. Provisions not covered include Intentional damage, contractual liabilities, and criminal prosecution.

The insurance benefits are automatically included with your Card. 4 What will you have to pay American Express for their services? There is no additional charge, fee or premium payable for the insurance benefits provided with your Card.

You have inadequate or no auto insurance: If you don't have car insurance or comprehensive and collision coverage or have very high deductibles, it's a good idea to get LDW from your rental car company. If you don't have any auto insurance at all, you should also purchase supplemental liability.

Do you need extra insurance when renting a car in USA? ›

In most instances, rental car insurance overlaps with your personal auto insurance policy, meaning you likely won't need to pay for duplicate coverage. However, you can get an add-on to your travel insurance policy for rental car coverage.

A CDW covers rental car repair bills if there's an accident or the car is stolen. It's a good option if you don't have: Your own car insurance. A credit card with rental car coverage that you use to pay for the rental.

Does credit card rental car insurance cover a second driver? Yes, credit card rental car insurance typically covers other drivers. But keep in mind that they typically have to be added to the rental agreement as authorized drivers. Before renting a vehicle, it may help to check your card's benefits guide.

Primary insurance is health insurance that pays first on a claim for medical and hospital care. In most cases, Medicare is your primary insurer.

A card with primary coverage eliminates the need to file a claim with your personal car insurance, a process that would typically subject you to a deductible payment and monthly premium increase. Primary coverage is also more likely to have generous terms and cover the full cost of the car.

Bottom Line: The Amex Gold card comes with complimentary secondary car rental insurance. For one low rate that covers the entire rental period (up to 42 consecutive days), you can have primary premium car rental coverage that compares with some of the best credit card car rental insurance available.